The UK government is preparing new legislation aimed at making subscription services easier to cancel and more transparent for consumers, according to announcements from the Department for Business and Trade.
The proposed rules are part of changes linked to the Digital Markets, Competition and Consumers Act 2024, which introduces measures to address so-called subscription traps, where users are automatically enrolled into paid services after trials or renewals without clear notice.
The government stated that the updated rules are expected to come into force in spring 2027 and are designed to protect consumers from “unwanted and misleading subscriptions.”
Under the planned framework, companies will be required to provide clear and simple information before a user signs up for a subscription. This includes details about pricing, renewal terms, and how to cancel the service.
Businesses will also need to send reminders before free trials end and before subscription contracts automatically renew. These notifications are intended to reduce cases where users are charged without realizing that a paid period has started.
The rules also introduce a requirement for straightforward cancellation processes. If a subscription is started online, companies must allow users to cancel it online without requiring additional steps such as phone calls or extended procedures.
A 14-day cooling-off period will apply after the end of a free or discounted trial, as well as after the renewal of contracts lasting 12 months or longer. During this period, users can cancel and receive a full or partial refund depending on usage.
Government data cited in the announcement indicates that millions of consumers are affected by automatic renewals and trial conversions each year. More than 3.5 million users are reported to have moved from free trials into paid subscriptions without clear awareness, while over 1.3 million encounter unexpected renewals.
Officials stated that the changes are intended to standardize how subscription contracts are presented and managed, while ensuring that cancellation rights and refund mechanisms are consistent across services.
The measures are expected to apply to a wide range of subscription-based services, including digital platforms and recurring service contracts, with some exemptions for specific categories such as certain charitable memberships.
The legislation remains subject to implementation timelines and further guidance for businesses before it becomes fully enforceable.